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Sir Keir Starmer put past government experience and an appetite for public service reform at the heart of his reshuffle.

The result was more wins for those on the right of the party, reflecting the “change” since the Corbyn years.

The Labour leader has made clear the reshuffle, the first full-blown reset of his top team since May 2021, put his “strongest possible players on the pitch” and represented a government in waiting “determined to solve the challenges we have”.

He left the top three jobs – shadow chancellor, home secretary and foreign secretary – untouched, but brought in a handful of fresh faces and showed his ruthlessness by demoting those suspected of briefing against him.

Hilary Benn, a former cabinet minister under Tony Blair and Gordon Brown and a big figure in Labour politics, returns to the frontline with the Northern Ireland role. He will steady the nerves of the party as his appointment represents the endorsement of Sir Keir by a serious figure not associated with the factionalism of his father, Tony Benn.

PM backs Keegan after sweary outburst – politics latest

Liz Kendall, who was a special adviser in the last Labour government, gets the work and pensions brief – while Pat McFadden gets a big upgrade after being made campaign chief with a Cabinet Office portfolio. Both figures are identified with the Blair wing of the Labour Party, who were uncomfortable during the Corbyn years and can antagonise some on the left.

More on Keir Starmer

Deputy leader Angela Rayner emerges “score-draw” with what some claim is a mid-level role – shadowing the Department for Levelling Up – but holds onto the work brief so unions will be relieved, and she gets Deputy PM moniker officially.

Allies of Sir Keir reject this suggestion, saying the levelling up brief encompasses some of Labour’s highest priorities on social justice, housing and planning – but everyone will be looking to Ms Rayner to publicly demonstrate her enthusiasm for the new role.

Read more:
The promotions and demotions in full
SNP reshuffles its frontbench too

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Who is in and out of Starmer’s cabinet?

The biggest loser was one-time leadership contender Lisa Nandy, whose personal relationship with Sir Keir never recovered after the leadership race.

I’m told the conversation was tricky: initially the Labour leader just said he wanted her to do this role and bigged it up. Ms Nandy then said “it sounds like you don’t really want me” and he effectively admitted that. Swallowing her pride, however, subsequently she put out a statement saying she’s a team player and accepted the job – the number two in the Foreign Office, shadowing international development with the right to attend cabinet.

One figure called it a “factional takeover” by some on the right of the party – the balance of the top team certainly very different to the shadow cabinet he appointed when he took over in 2020.

Some will point to the influence of the backroom campaign chief Morgan McSweeney, who has a fractious relationship with the left of the party, though often Labour staff members can become bogeymen for elected politicians not wanted to blame the leader themselves.

But most of all, Sir Keir will be relieved it is over. In May 2021, his first big reshuffle went awry when a series of figures from Ms Rayner downwards refused to move and he had to back down.

Asked how it felt, the Labour leader told me: “I was really pleased that we started at nine o’clock this morning. We’d finished by half past 12. And everybody’s pleased with the position they’ve now got in the shadow cabinet. I’m very, very pleased with this reshuffle.”

The body language suggests he was indeed happy with the result.

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US financial markets ‘poised to move on-chain’ amid DTCC tokenization greenlight

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US financial markets ‘poised to move on-chain’ amid DTCC tokenization greenlight

Traditional financial markets are moving rapidly onchain as the US Securities and Exchange Commission chair doubled down on the idea of an “innovation exemption” to accelerate tokenization.

“U.S. financial markets are poised to move on-chain,” wrote Paul Atkins, chair of the SEC, in a Friday X post, adding that the agency is “embracing new technologies to enable this onchain future.”

His comments come shortly after the SEC issued a “no action” letter to a subsidiary of the Depository Trust and Clearing Corporation (DTCC), enabling it to offer a new securities market tokenization service.

The DTCC plans to tokenize assets, including the Russell 1000 index, exchange-traded funds tracking major indexes and US Treasury bills and bonds, which Atkins called an “important step towards onchain capital markets.”

“On-chain markets will bring greater predictability, transparency, and efficiency for investors,” he said.

However, the green light for the DTCC’s pilot is only the beginning, as the SEC will consider an innovation exemption to enable builders to start “transitioning our markets onchain,” without being burdened by “cumbersome regulatory requirements,” added Atkins.

Source: Paul Atkins

Atkins pledged to encourage innovation as the industry moves toward onchain settlement, which would mean settling transactions on a blockchain ledger, removing intermediaries, enabling 24/7 trading and faster transaction finality.

Related: Crypto nears its ‘Netscape moment’ as industry approaches inflection point

Cointelegraph has contacted the SEC for comment on the details and timeline of an innovation exemption for tokenization.

Atkins first proposed an innovation exemption for tokenization during his remarks at the Crypto Task Force Roundtable on DeFi on June 9.

The SEC’s no-action letter means that the agency won’t take enforcement action if the DTCC’s product operates as described. The DTCC provides clearing, settlements and trading services as one of the most important infrastructure providers for US securities.

Asset tokenization involves minting tangible assets on the blockchain ledger, offering more investor access through fractionalized shares and 24/7 trading opportunities.

Related: Bitcoin treasuries stall in Q4, but largest holders keep stacking sats

DTCC pilot and RWA builders push more TradFi onchain

Crypto analysts have praised the SEC’s move to allow the DTCC’s new market tokenization service, which will award tokenized assets the same entitlements and investor protection mechanisms as traditional assets.

“Not sure people fully appreciate how quickly financial markets are heading towards full tokenization… Moving even faster than I expected,” wrote ETF analyst Nate Geraci, in a Friday X post.

Over the past few months, the SEC issued two no-action letters: one for a Solana-based decentralized physical infrastructure network (DePIN) project, and a second no-action letter in September that allowed investment advisers to use state trust companies as crypto custodians.

Meanwhile, crypto projects continue to raise funds to build the infrastructure necessary for tokenized onchain markets.

On Tuesday, asset tokenization network Real Finance closed a $29 million private funding round to build an infrastructure layer for real-world assets (RWAs) that can boost institutional participation.